tv The Willis Report FOX Business November 4, 2012 8:00am-9:00am EST
gerri: hello, everybody, i am gerri willis. tonight mayor michael bloomberg forced to flip-flop backing away from his decision to allow the new york city marathon to proceed just six days after the biggest and most instructive storm in the northeast in 74 years. bloomberg had said a marathon would bring new yorkers back together and was importance to the city's economy added $370 million for runners and race fans. but proceeding to new york city boroughs sunday when many of them have been declared disaster areas, homes destroyed, boardwalks missing, residents
without food, power or water was a repulsive idea to some. >> no one else has been here. i have not heard from fema, the coast guard, no one. it is startling. >> very angry and fed up. what are we, is this america? i don't know. i don't know. i don't like it. we are going downhill. >> i came here four or five years ago, expected we came here for a better life, opportunity, and this is what we come from. this is ridiculous. not how it is supposed to be. gerri: it wasn't just residents. take a look at the front page of "the new york post." an abuse of power, there were two generators being used for the marathon to power the media
tent. a third backup generator that wasn't being used. for more on this, joined by adam shapiro in staten island where he has been reporting all day long, and editor-in-chief of runner's world which follows all of this. i will start with you, what has been the response from people you have been talking to all day long about this idea of having a marathon in the wake of sandy? >> people wanted it canceled. when it was announced it was being canceled i asked lice officers what they felt about it and they responded in unison "good." now a girl we spoke to earlier, you got choked up, you're very emotional that the marathon would be run. what is your reaction? >> i am relieved. the right people are here taking care of what needs to be focused on witches for the city and staten island who is the unknown borough.
>> since it is known that was heard. the smallest voice was the largest today. what would you say to michael bloomberg about the decision to cancel? >> thank you. take care much because now the officials can pay attention to what needs to be done. the cleanup and get people back and make a new staten island. >> really quick, what the people need now, they need cleaning supplies, gloves to protect their hands as they cleanup, if you're going to make donations people have been driving down here dropping stuff off, that is the kind of stuff they need now. gerri: what is the gasituation now? >> we stay put where we are in the beach area to conserve our fuel. there are gas stations, we should point out not all of staten island, 75% of staten island doesn't have any damage. the higher elevations it is such a cold, cloudy day and some
places electricity has come back and other places they are still waiting. we did not see any lines at the stations. they had gas because we were trying to save our gas. gerri: a lot of people without gas worried about getting it. thank you for your help, stay put if you could. next i want to read a quote from michael bloomberg decided to cancel the marathon. cannot allow a controversy over an athletic event even one as meaningful as this to distract attention away from getting our city back on track. we want to turn now to david willey, you're right in the middle of this controversy. so many folks in the new york borough's like staten island which has been so hard hit, new jersey where they're still evacuating residents from hoboken, such a bad idea, sent the wrong message abt priorities to have this event.
how do you respond? >> all along i have deferred to the mayor's judgment and the city's decision to hold this race. it was a difficult situation. when the decision was made to hold the race i really did believe those who were here had an opportunity to do a lot of good for the city. gerri: how so? >> to personify resilience and moving on, but more importantly to raise a lot of money. money is needed for the rescue effort, of course. gerri: let me mention this. you say raise money, and apparently raising some $370 million as we said a four. the new york city economy on an average day can raise $4 billion. it pales in compason. is this a time to be thinking about money when people need
help just getting food, getting fresh water? at the end of the day you may not be running this particular marathon but what would it feel like as a runner to be running in staten island when all around you everything is in disarray? >> understand all the criticism and all the hurt and anger that is out there. every runner who is here to run understands and is heartbroken. second of all people would not be running past destruction. staten island is the beginning. this goes right there. gerri: it is all cleaned up right where the runners would have been which is another frustration. like there were two new york's. for those doing okay and the staten island for the middle income new yorkers who were suffering. i think that was the nexus of the frustration right there. >> totally understand. not taking away from anybody's
pain or complaints. gerri: was this the right decision? >> it was a very hard decision one way or another. the mayor was damned if he did, damned if he didn't be honest with you. i do think some good would have come from the marathon. gerri: new yorkers love the marathon but this time around they had some questions. you have been out there all day, talking to people all day really doing great work, lots of questions about the marathon, what else have people told you about what they're experiencing today and their feelings about the cancellation of the marathon? >> when people say they are happy, they are pleased the marathon has been canceled, it isn't because they don't like the marathon. we are only three days out of this tragedy, just passed us on tuesday in these people kept bringing up the issue they hurt
others say we need to mo forward and show we are resilient, but they haven't moved out of the tragedy. look at this, this is still here. the marathon won't run in staten island but it would've gone through parts of manhattan were 200,000 of our fellow new yorkers still don't have electricity and not as though you just don't have electricity. that means you don't have water going to be apartments with a need for sanitation issues and they're trapped in their apartment if they are elderly or somehow disabled and cannot get down from the department, these are serious issues. people are pointing out to say we have to move on and be replayed and is not realistic. gerri: i can be resilient after i have had dinner basically for me. thank you guys for coming in and talking about your views on this. thank you so much. thanks to the reporters who have been out covering this story.
covering the mayor's change of heart today, and everybody else covering this story, great job. a lot of people turn to social media today to let their voices be heard and let me tell you it was white hot even though the term marathon is trending on twitter. scott stringer earlier today said let's reschedule the marathon and focus all resources on helping the neighbors from staten island, breezy point and lower manhattan recover. people are freezing, starving, but by all means let's use the nyc resources to watch people run around the city. one group has launched a facebook page called cancel the 2012 nyc marathon. but the same number of people who run the marathon. according to the new york marathon's website, it is now being dubbed a race for recovery, that is what they said earlier today before the
cancellation. they have pledged a lot of money to go to helping new york city recover. meanwhile the death toll now climbing past 100 in new york, more subway and rail lines are opening up to date for commuters including the most used entrances into the city, the holland tunnel. electricity should be restored by midnight to customers in manhattan but it could be weeks. further parts of new yorke and new jersey one of the state's biggest businesses opening its doors, governor chris christie issued an order today we opening atlantic city's 12 casinos. another day of lining up for hours at gas stations struggling to stay supplied. estimated 60% of stations in new jersey are shot 60%, 70% on long island. more on that still to come, but first, staten island across new york harbor from lower manhattan is home to half a million people.
many blue-collar workers whose families have lived there for generations and many who say they have been forgotten including my next guest, representing the borough of staten island. you. what kind of recovery, rescue operations are you seeing. are you happier today than you were last night? >> we absolutely are. the outpouring of contributions from all over the country and from neighbors with clothes and food have been incredible and wanwewant to say we thank you vy much for all of the volunteers who have been contributing by just left secretary napolitano. the red cross, they are in full gear now. fema on the ground, things are starting to happen. gerri: last night you said you were not happy with the response. now i hear you say we are getting help and i'm happy to
see the response i am getting. >> absolutely, it is night and day. a big change from yesterday. today the calvary has come, what we have been asking for four days. we have had fema going door to door, we have a strategy meeting with the secretary just hours ago, talking about things we felt were falling through the cracks, things in the gap. but what about elderly people not in the catastrophe zone but have no power. they have been in their house for four or five days, nobody knows if they have gotten any food. i know the other elected officials on the island have been asking about coordinating. if they don't have food, we get it. things like that are finally getting coordinated.
gerri: is red cross on the scene? speak of the national ceo came up to me and gave me a hug. they have been coming in since last night. i got him a place to stay and got them some t food last night. there are many more of them today. in their defense, we called three days ago but a lot of them started driving from down south three days ago. we didn't understand what was taking so long but a lot of them were driving big rigs. gerri: a final question for you. i am sure you ha heard mayor michael bloomberg has canceled new york city marathon, what do you make of that? >> that was absolutely the right call. the mayor shouldn't have allowed it to go forward push a lot of leadership in hearing the cry of the people and realizing it is not about showing how resilient we are.
we have been through it all. but just agree it would have been nightmare and shifting resources away from the people that literally the death toll is still going up and the crisis in full swing although the calgary is here, we still need a lot, is just now the resources are here and have to be allocated correctly. still a lot of people suffering and we have to do whatever we can to stop the suffering. a marathon would not have helped with that. gerri: the mayor made the comparison to 9/11 and said we did the marathon after that. that was six weeks, this is less than six days this time around. can you compare the two? it is different, right? speaker you cannot compare them, it is apples and oranges, the reality is we are still in reality mode. i am fearing in basements we haven't been to yet, it will still be bodies to recover, they
haven't even had a chance to start morning. we're in the heart of a crisis here. gerri: thank you. the battle over who is better able to handle a crisis like hurricane sandy, some say proof big government is the only solution, but is that true? ♪ [ engine revs ] ♪ ♪ [ male announcer ] the mercedes-benz winter event is back,
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it's so much more than the other ones. so what if we just changed the format altogether ? isn't that the exact same thing ? it's pretty clear. still sticking with verizon. verizon. more 4g lte coverage than all other networks combined. gerri: does mitt romney wants to get the federal government out of the business of responding to natural disasters? >> there is a pressing question to be asked. what a romney presidency not have the federal government involved in this response? would the romney presidency not have the federal government do with the federal government is doing right now? would a presiden president romnd
of fema like he said would be the right thing to do? gerri: is the criticism justified? first off understand is no point in that debate did ronnie ever say fema should be shut down. search the archives, my friend. it doesn't exist. what he does say i if the state can do a bett job in some of the roles the federal government plays. he does not mention fema, but i'm going to. yesterday we talked about the federal emergency response administration missteps in the past, the slow response to hurricane katrina, the formaldehyde ligand trailers purchased for katrina victims to live in. and now it is becoming more and more clear hurricane sandy may well be another example of the government blowing it. it's a staten island resident had a same complaints residents of new orleans had seven years ago. where is fema when we need them. other problems that liberal bureaucracy huggers like to
ignore. according to a new analysis from the heritage foundation, fema dollars after all taxpayer dollars look more and more like a goody bag, honeypot for presidents to raise. think of them as a political porkbarrel spending agency because that is unfortunately what it has become. the disaster declarations are on the rise. reagan had 28 per year on average. under nine under bill clinton. obama, 153. he takes the cake. heritage foundation rates to put this in perspective in somewhere in america in 2011 disaster occurred every day and a half. so strong it required the intervention of the federal government because each of these disasters overwhelm the state and the local government. don't misunderstand me, there should not be any federal
response to disasters, but the current system is broken. let's at least fess up to that. if you want a better example, look at home depot. they met a full week before the storm to move high demand items like generators, supply wood, bleach from stores outside the storm's path to the stars inside the path. by the friday befo the storm 350 home depot tickets were deployed to a command center at the company's atlanta headquarters to coordinate response. 350 folks. a nference room outfitted with tvs monitoring local and national newscast gave company managers up-to-date. home depot, organized, planning ahead. two weeks after home depot started the planning and nearly a week after the actual storm took place residents of staten island, new jersey, long island are still asking where is the help from the federal government? people missing, homes destroyed, gas shortages abound, 3 million
residents still without power. he had it wrong, so maybe what she fears most would be right. responding to disasters would be better handled by states and yes, my friend, private businesses. that's what i think, now he wants to know what you think. who is better prepared to handle sandy, fema or home depot? log onto gerriwillis.com and i will share the results at the end of tonight's show. in the final jobs report before election day is out, what do the numbers really say about the unemployment crisis innthis country? answers next.
gerri: unemployment up is always hiring. 171,000 jobs added to the jobless picking up to 7.9% because more people are going on the job hunt. here to break it down, senior research fellow at george mason university and former commissioner of the bureau of labor statistics, jason shanker, chief economist for procedure economics. good news or bad? >> i think it was a good report. we saw an increase in the number of jobs, much more than expected. smith and upward roguish and the last couple of months. the market did not interpret it that way. in general it shows the trend of
modest improvements in u.s. economic growth is continuing. gerri: what did you make of the report? speak i think modest growth is the right word. one of the things we have to remember is we have a long way to go to get back a good labor market. right now we're probably about 10 million jobs short because of job loss and population growth. at this rate that would literally take us about 10 years to get 2 million jobs back. it is way too slow to consider this good and strong. gerri: i had read if we continued at this level it would take nine to 10 years to get back to full employment. we have a long, ng way to go. jason, we look at this did you see any good news in this report, any silver lining? >> i think the good news is
directionally the job increases are moving in the right direction. also if you look at temporary workers the number was negative last month, this number was positive and actually recoup the losses last month so that is important because that is indicative of future trends of hiring. it is if you want to see great reports, we will not see it. if you want to be happy, lower your expectations a little bit. gerri: really? you are breaking my heart here. should we lower our expectations? i guess the real question jason is alluding to, is this some sort of fundamental shift in america that america has to save the headwinds for america,ave to be satisfied with less, grow more slowly, do you agree with that thesis? >> no, absolutely not. this is job growth, a walking
pace. then a marathon to run to get back a well functioning labor market and i don't think we aree going to see job growth continue for long. we need an acceleration of job growth to get back. >> gerri, i would say we don't have to be satisfied with weakness and that's what we should accept. the truth is the corporations, the small businesses, large businesses are all very nervous and that uncertainty is keeping us from making more hiring and that is holding us back. gerri: people are very nervous indeed. so many things up in the air, the election, the fiscal cliff, don't know what your reality will be. thank you so much for coming on tonight, really appreciate both of your time. thank you. >> good to be with you. gerri: when we come back, no matter how you look at the jobs numbers they will likely shape the closing arguments of the campaign.
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gerri: with four days to go until election day, the last jobs report is in, we have been waiting for it. president obama and mitt romney are using it to make their closing arguments but which one will voters believe one ahea whd to the polls? former economic advisor to george h. w. bush and karen, an advisor to president obama and former ambassador to the organization of economic cooperation and development. welcome to you both. with this move people who are on the fence? >> no. anybody on the fence understands the u.s. economy is weak. sure, you can say 7.9% unemployment is an improvement. i can't even say that is an improvement.
the obama administration pledged they would drop down upon the great 5.4%. that certainly didn't happen. i'm curious as voters look at the newspapers tomorrow will the newspapers tell the truth that in this report touted as being positive wages went down. hourly earnings went down, hours worked went down. this is really a sad commentary if we have to interpret this somehow positively. gerri: clearly we have a long ways to go, wants you to hear something the president said today on the campaign trail and respond. here is the president. >> 2008 we were in the middle of two wars. today our businesses have created nearly five and a half million new jobs and this morning we learned the companies hired more workers in october than any timm in the past eight months. gerri: you listen to that, he
seems very proud of his record but the reality is we have 7.9% unemployment higher than a month ago. how do you respond? >> we have had 32 straight months of job growth and it is not hollowed, it is a strong growth to a can affect the outcf the worst economic crisis since the great depression. my favorite number is automotive parts and motor vehicle production is at an l-time high. manufacturing is up. consumer confidence at a five-year high.74p this is a really strong recovery. really. gerri: what are the numbers you see? >> have not heard president
obama say it is strong. we've lost jobs, manufacturing alone up two-thirds of the jobs created are jobs that are low-wage jobs, about 60% are for older people, for a president who doesn't like wal-mart very much sounds like president obama is creating a lot of jobs for wal-mart readers. wages went down, hours worked went down. i don't know what talking points you're working from. gerri: i think there is widespread frustration with how the economy is growing. why aren't we getting a more robust expansion especially when it comes to jobs? i heard if we continue to add jobs month by month like we did this month it would take us nine to 10 years to get back to full employment. >> i would not believe all of those numbers.
what you're seeing right now is job growth three times what it was at this point in the 2001 recovery. what you're seeing right now is 32 straight months of job growth. growth model a financial crisis. this is not an ordinary recession. this is the worst crisis and we are doing extremely well. gerri: i feel confident in the numbers i presented. i think karen is making the point we have had gdp in positive territory for a while. it is not like it is negative, so why are you complaining? >> we are barely above stall speed. weaker than it was last year. weakewe could than a year befor. this is not a strong economic recovery.
the last four quarters stronger than the fourth quarter before that and they were stronger than the bush recovery. economist across-the-board for this economy is growing. gerri: last word. >> let's be honest, but the talking points aside. american people know this economy is not strong. most americans believe this country is going in the wrong direction. those polls are undeniable. let's hope we can turn this around. gerri: thanks to you both for coming on, really appreciate your time. i think there is something the n the unemployment report for everybody. thank you. when we come back as many families worry about putting their lives back together, one thing you will likely not have to deal with. and whomever gets reelected or elected on tuesday will have a lot on his plate. look at the first 100 days in what they might hold coming up
a look at your first 100 days in new executive job powerful first step from the path to greatness. thank you for coming in. this is such a great conversation. not as look forward to the presidential election but also for executives who might be starting a new job. why are those 101st days so important? >> i would like to talk about one of my heroes. james mcgregor burns wrote a book about fdr called the lion and the fox. private conversation with me he said robert, it is very easy to get elected if you have enough resources but it is extremely difficult to govern. whatever it is that got you here, whatever got you electe will not get you there and can lead to some listed the victory. so while it takes mastering the art of war to get elected, it
takes master the art of collective calibration for the election is historic. starts the first 100 days. gei: i want to get to your list, your guide to the first 100 days. the talk won't have a story ready, what does that mean? >> whenever you're elected, the expectations are high. you have to be ready when the story is starting day one that says exactly how you are going to move the country or move the organization from here to there. it should be a transformation story. obama talked about change we can believe in and he tried to prove purvey the story. he was derailed by the midterm elections. gerri: had to have people who will help you make your case next year, right?
>> if you want to go for the impossible future you can't do it with the class or c. class players. you need the "a-team." and that dealing with chronic plays and they hav had to reduce their mission. gerri: what do you mean by impossible future? >> mostly what you see with ceos and presidents sitting predicable goals. goals that are more or less a different version of the status quo. in impossible future is a goal that is not predictable or likely but when you have to charge you take a stand for. for example an impossible future in the first 100 days whether it is president obama or president romney after the election might be take a stand for formal employment in amera. nobody actually knows how to achieve that, but once we stand for that, we start moving into that future, we know the what
but we don't know the how, we discovered the how in the process of going for it. gerri: breakthrough projects and drive the bottom line. robert, thank you for coming in tonight, it is a fascinating idea and not just presidents but executives need to listen to you. ♪ [ engine revs ] ♪ ♪ [ male announcer ] the mercedes-benz winter event is back, with the perfect vehicle that's just right for you, no matter which list you're on. [ santa ] ho, ho, ho, ho! [ male announcer ] lease a 2013 c250 for $349 a month at your local mercedes-benz dealer. at your local energy is being produced to power our lives. while energy development comes with some risk,
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one man in the bronx waited three hours only to find out the station ran out of gas when it was almost his turn. aaa says two-thirds of gas stations in new jersey, long island and suburban new york are running on empty. new york governor andrew cuomo along with homelanddsecurity secretary janet napolitano are waiving requirements prevent prg fuel tankers from transporting oil into the area and he has a message. >> on the fuel situation there is no reason to panic, no reason for anxiety. we understand why there was a shortage for very definable reasons, we also understand why it is going to be better and it is going to be better in the near future. gerri: went on to say they're making progress but maybe a little too little too late as people are already seeing gas prices jump in new york and new jersey.
and banking after the storm, hundreds of banks shut down and more atms out of service, countless folks facing a cash shortage struggling to buy the bare necessities that cash only vendors. joining me now with more. good to have you back on the show. tell us what banks are doing right now because i'm getting e-mails from american express and everybody else saying they want to help me out because i live in the storm region. what are they offering customers? >> thank you so much for having me. they're offering a few things. they are waiving a lot of late fees, a lot of withdrawal fees if you end up using an atm that is not your banks atm, they will wave those fees as well. they're also doing a lot of things behind the scenes. our best advice is to ask what they can do to help you. don't jeopardize your security
and just know that everybody is aware of the situation and everything would work out, nobody should stress out if you are late on a payment. gerri: here are some of the banks waving atm fees. jpmorgan, wells fargo, citigroup on a case-by-case basis. do you think there are alternative places people can get cash? par thpart of the problem is sof these banks don't have electricity so you can't use your atm card. >> that is exactly right. i think the best advice is atms are in restaurants, lots of different public locations and i think it would be the best advice in order to actually get them, to have some friends or family is to really look around and go to any atm that you can get your hands on and ask them
to waive the fee. gerri: let's get to some of your tips. don't risk safety for cost, go to the closest atm, right? >> again if you are a couple of days late, they will wave the late fees or finance charges, so don't do anything that will affect your safety. gerri: avoid short-term loans, right? >> that is right. a lot of banks are offering short-term loans to people that are affected that obviously pay their loans that people can get their hands on, but those are unfortunately very expensive and our best advice is to ask for a credit line increase from your bank, lots of banks are doing that on your existing credit cards rather than getting a
short-term loan that is much more expensive than your credit card. gerri: don't rule out investments, seek low-cost options. >> what we were very happy to see was a lot of banks have waived early withdrawal fees from certificate deposit accounts. it is an option that can be very handy for lots of people accessing their cd. gerri: thank you for coming on, we appreciate your time. >> thank you for having me. gerri: we will be right back with my two cents more. and who is more prepared to handle sandy, fema or home depot? from currency trading for a few to a currency market for everyone. the potential of fxcm unlocked. nyse euronext. unlocking the world's potential.
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the private sector seems better equipped to deal with disasters than the government. what do you think? who is better prepared? fema or home depot? here is what you'r telling. home depot. people there actually know what they're doing and are qualified to do their job. thank you. tony agrees. home depot. there has been another demonstration of the failure of big government. we ask you this on the gerriwillis.com. 3 percent said fema. [laughter] 97 percent said home depot. log onto gerriwillis.com for our on-line question every weekday. finally, while most of you feel home depot and other businesses were more prepared to handle sandy, they are also stepping up to handle the aftermath. i'm not just talking about giving money. duracell is giving power, sending in trucks with phone charging stations and computers with internet access so people can contact their family and friends. same with comcast and giving complementary access to wi-fi networks through wednesday. as we mentioned, wells fargo,
bank of america, a city bank are waving at&t's. general motors giving the american red cross 50 chevy pickup trucks to help the recovery effort as well as a quarter of a million dollars. most but not all the gems in the area are offering free showers. new york sports club is one of them, but equinoxes tightening restrictions to make sure people are not getting in for free. not everybody is getting in the spirit of helping there fellow man. just some examples with all the tragedy and destruction around. a lot to complain about, but also lots of people in this area and members of the business community to be proud of. that ismy "2 cents more." coming up monday, guess what? is a big surprise. we will be in boston, mitt roey's home state of massachusetts. the -- "the willis report" will be live. that is it for tonight. thank you for joining us. don't forget to record the show if you cannot catch us